Offset schooling costs with budgets, jobs

College students today are faced with the same dilemmas as
college students of the early 1980s ““ how to avoid debt while
attaining your bachelor’s degree.

Prior to the early ’80s, University of California tuition
was increased steadily with median income. But in 1981, state
budget cuts caused UC tuition to be raised higher than the increase
in median income. Since then, tuition has fluctuated along with the
state budget, causing undergraduates in meager years to try to
figure out ways to avoid debt while earning their degrees. There
are a number of things that high school seniors and college
students can do to prepare financially for college.

First and foremost, they should apply for financial aid, even if
they don’t think they will qualify. Many are surprised to
find that they do. Also, all students who file a Free Application
for Federal Student Aid have access to low-interest student and
parent loans.

Students should always apply for scholarships. There are many
organizations, such as the Gates Millennium Foundation and the
Coca-Cola Co., that offer scholarships. Filling out all the
applications can be time consuming, but it often pays off.
Information can be found in a high school guidance
counselor’s office or online at fastweb.monster.com.

Additionally, both students and parents should draft a living
expense budget for when school starts. Most colleges publish
estimates of the cost of attending. The FinAid Web site has a
useful tool for families in creating a student budget at
www.finaid.com/calculators/studentbudget.phtml.

This will help a family get a sense of how much college really
costs and help the student keep his or her spending in line
throughout the year. It might also help a family decide whether any
educational loans it has been offered are worth it. Accepting loans
should be the last step in the process, after the family knows what
type of financial aid it qualifies for.

Also, we must not forget that finding a job in the summer is
also a great way to earn money for school. By working 40 hours a
week in the summer, students can earn money to offset the costs of
registration fees and living expenses. Working also provides
students with a sense of satisfaction that they have had a hand in
paying for their college degree.

These are just a few suggestions that students can employ to try
to offset debt. Students can always visit the Financial Aid Office
for more help.

Johnson is the UCLA financial aid director. Katz is a
financial aid counselor.